Farmers Bank Ltd has selected Chowdhury Nafeez Sarafat as its new chairman after its former chairman Muhiuddin Khan Alamgir resigned from the board for his alleged involvement in financial scams.

Sarafat told The Daily Star today that the board of the bank took the decision on Sunday in line with the recommendation of the central bank.

“I will serve as chairman of the bank as an institutional representative of 12 organisations. The board decision will effect after the central bank approval”, he said.

Former Farmers Bank Chairman MK Alamgir and its Audit Committee Chairman Md Mahabubul Haque Chisty resigned from its board on November 27.

The central bank earlier asked them to resign from their posts over their alleged involvement in financial scams. If they did not step down, the BB would removed them from the board of the troubled bank under the Bank Company Act 1991, a BB official told The Daily Star this evening.

In line with the BB directives, the Farmers Bank, established four years ago, restructured its audit, risk management and executive committees in November.